(solution) The values of Alabama building contracts (in millions of dollars) for a 12-month period follow: 240

(solution) The values of Alabama building contracts (in millions of dollars) for a 12-month period follow: 240

The values of Alabama building contracts (in millions of dollars) for a 12-month period follow: 240 350 230 260 280 320 220 310 240 310 240 230 Construct a time series plot. What type of pattern exists in the data? Compare a three-month moving average forecast with an exponential smoothing fore- cast. Use a = 0.2. Which provides the better forecasts based on MSE? What is the forecast for the next month?